What are the current average sales and gross income for this route?
Currently this route averages $19,200 a year in sales. Two years of income documentation will be provided to all serious buyers.
How do I get paid?
By purchasing product at wholesale and reselling it at retail. Product has a markup of 25%.
How much can I make?
$4800 per year is the current gross profits. This number can be increased, by soliciting new accounts, and simple inflation.
Can I finance the route?
There is no seller financing for this route, and unfortunately banks will NOT write business loans against route based businesses for several reasons. You can review additional Financing Options Here.
What are my expenses and overhead?
Expenses include, but are not limited to: fuel, repair for your vehicle, and insurance. Owner estimates $1200 per year in expenses/overhead.
What type of insurance do I need?
Typically, a single owner operator of a route distributorship will need commercial insurance for their delivery vehicle and business liability insurance. Owners with multiple employees will need a multiple vehicle policy and workers’ compensation. Routes For Sale now offers discounts on insurance! Through our size and volume, we have partnered with some of the largest insurance brokers in the nation to offer the best rates. Request Your Free Insurance Quote Here.
What type of vehicle do I need?
The owner currently operates this route with a 16′ cargo trailer that is available for purchase if needed! Estimated value is $2500. Common delivery vehicles used for this type of business are box trucks or trailers. If you are considering purchasing, leasing or financing a vehicle you can review additional information here.
What is the Gross vs the Net income?
The gross income for the route is $4800 per year, minus your above mentioned expenses of $1,200 gives you $3,600 in net income or cash flow.
How does the selling price of the route get determined?
Using the standard business formula of a 2 multiple, times the yearly net. This business is under priced!
Do I have to pay for inventory or purchase product up front?
Yes, you are 100% independent and will have to purchase your inventory upfront. In other words you will buy and sell product at a 25% mark up. On average the seller keeps $1000 in inventory on hand.
Who is responsible for damaged or out of date product?
If you buy and sell as needed there is no damaged product. Expiration codes are 6-8 months.
Do I have to sign a contract?
No, you can distribute unlimited products to unlimited accounts. There are NO territory boundaries!
Why is the distributor selling?
Owner has a large distribution business that requires a freight delivery system. Owner is selling the portion of the business that requires in person deliveries.
How many accounts does the route have?
Currently there are 6-7 total accounts. One franchise account requires delivery to their corporate office; product is then delivered to each individual daycare through their network.
How long has the seller owned the business?
The current owner has owned this route and territory for 4 years.
How many days a week, and what hours do distributors work?
On average daycare centers order every other month. Owner works 1-2 days per month a total 4-5 hours. Deliveries can be completed during normal business hours.
What else should I know?
Become 100% independent! Seller has established an incredible business model and will train and share wholesale purchase information. Part-Time distribution business with unlimited growth potential! Can easily become a full time business overnight! Route consists of daycare accounts that are on a drop and go delivery system (no stocking shelves). Customer orders are submitted via email. Combine this route with an existing distributorship business. Priced to sell at $5,000! Contact Us About This Route Here!
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